Hoya Sets Terms of Agreement of Global Strategic Alliance With Seiko, Including Partial Acquisition of Eyewear Business

By StaffFriday, November 16, 2012 6:30 AM
TOKYO—
Hoya Corporation (Nikkei: 7441) announced today that it has executed an agreement with
Seiko Holdings Corp. on the strategic alliance in marketing and distribution to promote eyewear and related products globally, including the partial ownership of Seiko Optical Products Co., Ltd. (SOP), Seiko’s wholly owned subsidiary, responsible for the sales of the eyeglass-related products. Hoya did not disclose the deal price.

Hoya and Seiko had discussed the basic agreement concerning an alliance about sales of eyewear products,
signed April 10, 2012.

According to a statement issued by Hoya, both companies decided it was in their best interest to enter into business and capital alliance aiming to “further promote the Seiko brand and optical technologies worldwide in the field of eyewear business, by optimizing the resources owned by the companies such as Seiko’s brand value in the eyeglasses market, business resources of SOP, including human capital, and Hoya’s manufacturing and sales network worldwide.”

Under the terms of the agreement, Hoya, Seiko and SOP will maintain and develop the strategic business alliance of promoting eyeglasses and related product sales worldwide with utilizing effectively each company’s business resources to further enhance corporate values. The detailed approach will be finalized in the discussion held by Hoya, Seiko and SOP together.

Among the total SOP issued shares, which is 100 percent ( 30,000 shares) owned by Seiko, Hoya will at first acquire the 30 percent, (9,000 shares) on Feb. 1, 2013, and an additional 20 percent (6,000 shares) on March 31, 2014 as planned. Ultimately, Hoya will own 50 percent (15,000 shares) of the SOP stake.